Britain urged to block EU charter of rights

TONY BLAIR was under pressure last night to veto a new European charter of rights after losing the latest round of his fight to prevent new economic and social rights being included.

British business leaders and the Conservatives claimed that the charter - due to be approved by European leaders in December - would open the "floodgates" to new measures damaging to industry.

It includes a new right to strike "at all levels" which business leaders believe could raise the possibility of cross-border industrial action, even though secondary strike action has been illegal since the 1980s.

The Prime Minister has the power to block the charter at the Biarritz summit in mid-October or at the December summit in Nice. He would be left isolated, however. The other two dissenting EU member states, Sweden and Ireland, are now inclined to accept the latest draft.

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Diplomats in Brussels believe that it would be almost inconceivable for a Labour government to jeopardise Britain's relationship with Europe over a rights charter that broadly promotes centre-Left ideals.

The timing of the charter is highly embarrassing for Mr Blair. He knows that to go along with it would provide ammunition for Euro-sceptics before the election. Initially, he hoped the charter would be little more than a "showcase" of existing rights.

But other countries want it to be"justiciable" by the European Court, so that it would give the EU's citizens a strong legal remedy if their rights were infringed.

Article 26 gives workers effective powers of co-decision in business management through a right to "information and consultation" along the lines of Germany's joint work councils. Article 27 introduces a right to "strike action" at "all levels", opening the way for cross-border picketing. Article 31 prohibits employment of schoolchildren, jeopardising the paper round.

The Tories claim that these will lead to the reversal of the Thatcher revolution through the back door of court litigation. Ultimately, the effect could be to transfer decision-making over the way Britain allocates resources and runs its society to European judges in Luxembourg.

The Government sought to play down the impact of the inclusion of the right to strike.A spokesman said the draft explicitly referred to national laws and custom. "The right to strike is well established in custom and common law in the UK."

The final document was not yet agreed. "But whatever its terms, it will be a political declaration and not a legal text. That has already been decided."

Last week, however, Antonio Vitorino, the EU Justice and Home Affairs Commissioner, said that the European Court of Justice would use the charter as a reference text in reaching decisions even if it was purely a declaratory document.

The Confederation of British Industry said it was "extremely disappointed" with the charter, which would damage business, creating "confusion and uncertainty for employers". Francis Maude, the Conservative foreign affairs spokesman, called on Mr Blair to veto the charter. He said that if it became binding "it will be used by Brussels to dictate more rules and regulations on Britain".

Britain has a second line of defence on some of the articles. Lord Goldsmith succeeded in adding a qualifying clause that the rights must conform to national law and practice in member states. However, Labour sources believe Mr Blair may be forced to block the charter.

Next month, he will make a major speech on European policy in Warsaw in which he will argue that the way to reconnect EU institutions with citizens in each member state is for heads of government to play a more active role in running the Union.